News

The Spanish Post Office, Grupo Correos, has finalised a four year deal with several unions and also announced that it has doubled net profits to €6.3 million despite a decline of 3.4% in revenues and reduced mail volumes of 4.7%. The improved profits last year were largely the result of cost saving measures from implementing an austerity plan which was introduced two years ago. Staff costs were reduced by 3.2% in 2010

The new agreement made with the unions CC.OO, UGT, CSIF and Sindicato Libre covers 62,000 postal workers for the years 2009 - 2013. The four unions represent 92% of the group’s staff. The agreements improve working conditions, give a 2.3% pay rise to rural staff and will reduce temporary jobs. The company will seek 200 voluntary redundancies over the period.

In making the announcement about the new Agreement, Grupo Correos said that as part of its 2011-14 strategy it aims to improve financial results through a proactive policy of increasing revenues by diversification, gaining higher market shares in parcels and direct marketing, and gaining a position in emerging sectors such as e-commerce. However the policy of austerity and cost reduction will continue.